FTC v. Rite Aid

FTC v. Rite Aid — Five-Year Facial Recognition Ban Consent Order
FTC · FTC v. Rite Aid Corp., No. 2:23-cv-05023 (E.D. Pa. Dec. 19, 2023)

Status
In effect
Took effect
February 26, 2024
Applies to
Rite Aid Corporation and any successor or affiliated entity

The FTC banned Rite Aid from using facial-recognition technology in its stores for five years after finding the pharmacy chain's FRT system falsely tagged customers — disproportionately women and people of color — as shoplifters, leading to wrongful detentions and humiliations.

Who is protected: Retail customers — particularly women and people of color disproportionately misidentified by FRT

Legal detail

FTC v. Rite Aid Corp., No. 2:23-cv-05023 (E.D. Pa., consent order Dec. 19, 2023). Section 5 FTC Act unfairness theory: deploying FRT without reasonable accuracy, bias-mitigation, or consumer-redress safeguards is an unfair practice causing substantial consumer injury. Order: 5-year FRT ban; if Rite Aid resumes after, it must implement a comprehensive monitoring program; delete all face vectors collected; notify affected consumers.

Key facts

JurisdictionFTC
LevelFederal
StrengthStronger
CitationFTC v. Rite Aid Corp., No. 2:23-cv-05023 (E.D. Pa. Dec. 19, 2023)
Topicsfacial recognition · biometric data · consumer protection
Agency pageFTC: Rite Aid Banned From Using AI Facial Recognition — FTC press release

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Related facial recognition rules elsewhere

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